Vistan elected UCPB chairman

Veteran banker Deogracias Vistan has been elected chairman of the United Coconut Planters Bank (UCPB), taking over from Edward Go, another veteran banker who successfully negotiated for the rehabilitation of the beleaguered bank.

Vistan was appointed as one of eight nominees of the Philippine Deposit Insurance Co (PDIC) which took over UCPB after infusing a total of P20 billion to save the bank.

During last week’s board meeting, Vistan was elected chairman although there were still at least three PDIC seats still occupied by the Presidential Commission on Good Government (PCGG).

Go had successfully steered negotiations with the PDIC to prevent the UCPB from collapsing, leading up to the landmark agreement that allowed the PDIC to take the helm from the PCGG.

Vistan said he intended to implement the rehabilitation of the bank and pick up from where Go had left.

"The challenge now is how to efficiently dispose of the bank’s non-performing assets and how to implement an effective cost management plan," Vistan said.

UCPB has managed to operate smoothly during the transition period where a new president was appointed. Well-placed sources disclosed that Go’s resignation allowed Vistan’s entry but PCGG still retained control of the 15-man board of directors, with three more PDIC nominees still waiting for the commission to revamp its representation to the board in order to release three seats.

According to sources, PDIC has already delivered all of the P20 billion that it had committed to infuse into the bank but despite this, the board is still controlled by PCGG with nine seats against PDIC’s five.